Raising the debt ceiling is not necessary


Perspective:

Oppose raising the national debt limit and support enough deep spending cuts to balance the budget now! The responsible remedy is to reduce the spending. And the only way Congress will reduce government spending is if the statutory debt limit is NOT increased.

If the debt ceiling is not raised the U.S. will/does not have to ‘default on its obligations’. If the debt ceiling is not raised the government’s bills can be still be paid with the current revenue (taxes) stream arriving at the Treasury. The debt service (interest) for the existing debt is about 6% of everything the fed govt has to pay. We are currently taking in enough revenue (taxes) to cover 10 times all the interest that we owe. The real impact of disallowing further deficit will be an inability of the fed govt to engage in new borrowing (limit the fed‘s ability to raise new capital in bond markets or borrow more from foreign creditors like China). Despite Tim Geithner’s claims, the govt will neither default or shutdown because of not raising the debt ceiling.

The interest payments on the current debt can be made with current revenues, obligations to foreign creditors can be met, default won’t actually happen and important U.S. government functions can be done where the U.S. government won’t shut down. So, those that do crisis scare tactic talk about “catastrophe” or “security” are doing politics to keep the spending on an upward trend and are concerned with not being able to just continue spending (“stimulus”) progressively as if nothing is wrong. What is logically known is that the status quo of unlimited deficit is a failure and unsustainable leading to true bankruptcy and true National shutdown, like Greece.

The recent threat by S&P that lowering the U.S.’s credit rating will occur if we do not raise the debt ceiling seems to be the central Banks (Federal Reserve) desire for continued fiat (fake) currency of printing money to do more spending worldwide. This recent news from S&P seems suspicious as if the Fed Reserve coerced them to say it, because it is contrary to logic. S&P just a month ago said they are considering lowering our credit rating because of the debt — which is it? Lowering the U.S.’s credit rating will occur if we raise the debt ceiling, get more debt…$16,17,18 Trillion and keep projecting that trend and show to the world (and our foreign creditors) that we are not one bit serious about lowering our debt –and they may just cut off lending altogether.

Americans such as elderly, students, veterans, social security recipients or medical care recipients don’t have to suffer cuts as portrayed by demagogue scare tactics about cutting govt spending. NO!, it is the fed govt itself that needs to be cut in its too many agencies, too many bureaucrats, too many non-essential fed govt jobs, too many regulations and lavish govt salaries/benefits/privileges, wrongful foreign aid, unnecessary subsidies, unnecessary military (kinetic) actions. Fed govt should be looking inward and turning the spending finger at the problem’s source, instead of reaching out to tax Americans or certain groups. The onus is on the Federal Govt to not be doing things not allowed by the Constitution rather than seeking control of the People (Bigger and bigger gov‘t with more gov‘t jobs). Again, SPENDING is the problem, NOT taxes (revenues).

The President’s budget proposal was dead on arrival with more seemly uncaring spending of $1.65 TRILLION deficit for 2012 and President Obama’s budget received 0 (ZERO) votes in Congress (not even the Dems would touch it). Recall, that Obama’s past 2 years has seen an extreme unprecedented enormous unconscionable record spending of $4 Trillion (that’s Trillions not Billions) that has uncaringly slammed the U.S. to near bankruptcy. The President’s re-distribution crusade is hurting the whole Nation. It was the President who disregarded his own debt commission and knowingly arrogantly threw his $1.65 Trillion deficit at the American People and then has gone missing for months on how to cope with problems of his own budget.

The problem is the Federal Gov’t SPENDING, as taxation and regulation of Americans is already counterproductive for the Nation. The federal government would not have to be spending and damaging American principles if the Federal Govt was not expanding into areas that it has no place being (State or local affairs – financial industry with Frank-Dodd bill, Obamacare control healthcare (costs going up due to govt intervention – not down), Education expansion spending, etc.) and that the American People do not want, and voted with rejection in 2010. The President’s disregard of his own debt commission—confirms further the President’s ideological extreme–to achieve some dominating end– which is what?, statism, redistribution of wealth? Former President Clinton has just claimed that it is Republicans ideological stance that is the problem, yet if the problem is a stance of big govt spending to achieve govt control of People rather than a stance of economic freedom then there is a stark choice of what path is better to follow and what are more wrong actions.

Treasury Secretary Tim Geithner (CFR, Bilderberger) was extremely disingenuous in a recent Senate Committee hearing stating that, ”gov’t can’t shrink” and “we need to raise taxes on small business”, some $400 billion. A recent report shown on Fox News showed that many federal workers’ salaries doubled since 2009 into $150K+ ranges. –The findings, from a Congressional Research Service report requested by Sen. Tom Coburn –More than 77,000 federal government employees throughout the country — including computer operators, more than 5,000 air traffic controllers, 22 librarians and one interior designer — earned more in annual pay than the governors of the states in which they work! Of those workers, 18,351 were doctors — the highest percentage. The second-highest total was for 5,170 air traffic controllers — likely both front-line controllers and their supervisors. In Maryland, 7,283 federal employees — about 7 percent of all full-time federal employees in the state — earned more than Gov. Martin O’Malley‘s $150,000 salary. Maryland was topped by Colorado, which in 2009 had 10,875 employees who made more than the $90,000 salary of the governor, Bill Ritter.

Mr. Geithner says govt. can’t shrink, but it was just in the last 2011 budget that we learned of some 800,000 federal workers that are non-essential. So, 800,000 NON-ESSENTIAL government workers. Non-essential would seem to mean unnecessary, or luxury. It would stand to figure that having studies like shrimp running on treadmills, NCAA bracketology, marijuana/drinking intake, robots folding laundry, cowboy poetry festival, 56 financial literacy programs, etc. would mean that a good 10% of the 800,000 workers are really just ridiculous and can be cut — 80,000 workers can go find something productive to do with their lives along with the ridiculous bureaucrats that oversee these folks (another 5,000). So 85,000 workers with $75K to $100K salaries would save the Nation $6.4 – $8.5 Billion annually. The remaining 720,000 NON-essential workers should then provide a ‘company (govt) reinvestment plan’ for the good of the Nation to help support their own non-essential work where $100 a month from their current bloated salary can be paid back to the Nation – which would be a new tax for unnecessary govt saving the Nation another $8.6 Billion annually. So 800,000 non-essential govt workers can save the Nation $15-17 Billion annually and likely more than that in cuts. Surely with wise quality cuts another 10% of the 800,000 could be determined as wasteful work, making 160,000 workers to be booted out saving the Nation $30-34 Billion annually. Removing the unconstitutional un-elected non-essential Czar regime (executive branch hijack hags) at the White House would also save several $Billion more annually.

Democrats seem to want to stereotype all the wealthy people as being in the Republican Party, when yet there are many wealthy Democrats that enjoy loop-holing the same system. Mr. Obama likes to slam Wall St. as a whipping post yet goes to fundraiser dinners with “his” Wall Street richies. Surely wealthy liberal Democrat Hollywood stars don’t receive the kind of condemnation from Mr. Obama and Dems that is laid on Republicans for being wealthy in their industries. So, if we are to selectively tax, I would suggest a new tax be put on overpaid Sports players. Surely, the enormous salaries paid to athletes for the seemly unnecessary activity of just throwing and chasing balls around seems to be a waste and hence taxable. In comparison, at least Hollywood movie stars are working to produce something. Sports Stars and many more like Lebron James and Alex Rodriguez have a way disproportionate salary in regard to the importance of what they do, chasing a ball around, and should not be paid $25million/yr. So a Sports tax would levy sports Stars with money they just don’t need. Or maybe Sports team Owners should be taxed. Of course see, Sports is likely more than just chasing a ball for many people, its entertainment and its freedom of market by fans that produces other economic activity. Which also goes to say that maybe taxing sports would bring less sports in America and remove some of the worst apathy and non-productivity of over-indulged sports Fanatics, that pay for overpriced tickets and food. Don’t get me wrong, American NFL football, American MLB baseball are sports that are great and that are enjoyable to the world over. But, maybe it would be good for Americans to go a season without the NFL season.

More on taxes (revenues). The American People of all Classes have already been taxed by having the Federal Reserve do “quantitative easing” (QE1 and QE2) (printing more money) which is inflation (rising prices) –which is a tax taking your money. So, taxation has already occurred and is done by printing more money. In regard to taxes (same as revenues), it should not be underestimated that “increasing revenues” per the Democrats talk will reach far beyond just taxing the wealthy. Once the go ahead is given to do taxation, there will be the hidden details of an overreach that will be kept hush — like the talk of doing a draconian anti-freedom control tax of a vehicle mileage tax (VMT). The VMT has been proposed in the DOT (Dept of transportation) program on pages 168-169 that would tax every mile you drive. With no mention of discontinuing the gasoline tax, the VMT is a caustic enslavement tax that would be a double whammy on everyone’s paychecks. Obamacare is a tax on all and the Dodd-Frank bill (financial reform bill – the Obamacare equivalent for the financial industry) is a tax that is passed onto consumers in the form of banks charging higher fees and no longer providing free checking accounts.

To be fair, there are unnecessary or wasteful tax or subsidy loopholes that are deficient or unfair to the economy. Surely, $4 Billion going to oil companies is not necessary when for example Exxon cleared some record $11 Billion profit. With the subsidy going to multiple oil companies, maybe Exxon would lose $1 Billion, which I’m sure Exxon would not like and may alter some things, but this is unreasonable. Subsidies for ethanol production is an unnecessary waste, in both the production of a poor product and the lost production of important corn based food. Larger Agra corps are getting pumped with cash while small solid producing farms get disadvantaged. Ethanol is a failure and a loss that worthlessly can’t compete and should done away with. There are reasonable wastes of these subsidies that are unnecessary that should be removed. That being said, sure there are corporate waste spots that should be removed but $4 Billion or maybe $10 Billion of these loopholes is miniscule money compared to $1.65 Trillion in new deficit spending!

Which then brings us to the actual numbers problem and the D&R (Democrat & Repub) pony show of ’smoke & mirrors’ numbers. With the current annual deficit to be $1.5 Trillion, anything less than cutting that amount in a single year should be unacceptable, because that means upward trend spending is still going with no actual cuts. The bogus talk of cuts in FUTURE spending “PROJECTIONS” spread out over many years (10,20 or even 30 years!) with little cutting up front NOW, is an unacceptable insult to America.

So Joe Biden making a big ’to do’ about $1Trillion in cuts — but spread over 10 years is a paltry $100 Billion for a fiscal year that will then have $1.4 Trillion slapped further on top into debt! The President and the Congressional politicians still foolishly think they can flash a big number and that Americans can’t follow up with simple math. What was that last budget deal really — just $350 million in cuts! These 10,20,30 year projections are nonsense heresy that tells the cut may never happen at all.

Recall that at the first G-20 summit, Obama and Geithner’s stimulus (more spending) plans were considered to be in the wrong track, irresponsible and were rejected as harmful by many of the member Nations. The actions that have been taken (stimulus, “investment” spending, preventing jobs by regulations and tax) that have proven ineffective or bad would then not be followed by continuing to want do those same actions even more unless there was an ideological motive to running the U.S. economy into the dirt or collapsing the U.S.   So doing the things that Obama/Geithner are doing, would not be done, or we would hear a correction of strategy by Obama if he was pro-America. So by spending the U.S. into oblivion, and forcing a debt ceiling action, gutting the economy and forcing taxation proves that this is about Obama’s imposed ideology that goes to the core or working against the Constitution.

President Obama dislikes independence, rather wants more dependence. According to Obama, govt jobs are better and more important than private jobs even when there is no productive ends to a govt job, so that govt can attempt to control all jobs and control the market economy. Recall, that dependence on government and government welfare brings bigger government and government control of your life into enslavement. Be mindful that the Obama Admin.’s record and his ideology is about dependence on more and more government and regulation , to control your life, because such dependence means the government knows better what is good for you, because it is better for you to not have your own freedom, which is why the President wants to not shrink the government and hence spend more.

This 4th of July, let’s celebrate independence and remember that independent freedoms are Rights that come from God to the individual and are protected from government by the Constitution.

Full faith and credit of the U.S. is better kept intact by not raising the debt ceiling, because the raise is not necessary for the U.S.  Returning to 2008 spending levels would be a good start — to reduce, scale back and shrink unnecessary government that leads to eventual collapse and bankruptcy. Oppose any increase in the national debt ceiling and begin balancing the budget now!

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6 Responses to Raising the debt ceiling is not necessary

  1. hoboduke says:

    I will volunteer additional revenue to cut down our debt by both reducing spending and increasing income. Eliminate all government subsidies on everything! The sugar industry, the dairy industry, the oil industry, the car industry, the housing industry, the health industry,the billionaire charitable trust industry, etc. End all tax breaks, end all paying not to grow crops, end all paying us to become consumers of electric cars, no deductions for 13 children or no children, no deductions for buying a house, no targeting of income level engineering tax codes! Lobbyists swarm and cajole our congress for better breaks, more breaks, or tax breaks to make their industry thrive. Forget all special deductions, etc. This act alone will eleiminate a lot of waste, and corruption! I don’t need or want a deduction for my family to be raised. Just tax everyone 10% with no deductions. Billionaires like George Soros will scream like a stuck pig! His 510c charade that is a propaganda indsutry tax sheltering billions of his dollars! We the citizens will pay more, everyone of us! With 14 trillion in debt, this is inevitable. I want all to pay, from poor to rich! No free ride for free loaders, or bloated billionaires is my aim.

    • CaldwellRocks says:

      Soros would have no problem with this…it’s the Koch Brothers, Phillip Anschutz, Joseph Craft, Rich DeVos, Ken Griffin, Diane Hendricks, Stanley Hubbard, Ken Langone, and Stephen Schwartzman that would be screaming like stuck hogs. They pay less in taxes than anyone in Caldwell County. Yet they have BILLONS. (Not earned…inherited or scammed.) FACT.

  2. Jason Robison says:

    Thank you! We have the lowest tax rates in decades, and we’re spending more than ever on wars that make no sense.

  3. Patrick Henry says:

    Raising the debt ceiling only gives obama, reid, pelosi and all of those clowns in Washington a bigger blank check to play with….it has got to stop now!!!

  4. CaldwellRocks says:

    A default would leave America a global laughingstock. Our “soft power,” our promotion of democracy around the world, and our influence would all take a hit. The spectacle of paralysis in the world’s largest economy is already bewildering to many countries. If there is awe for our military prowess and delight in our movies and music, there is scorn for our political/economic management.

  5. CaldwellRocks says:

    “The full consequences of a default or even the serious prospect of default by the United States are impossible to predict and awesome to contemplate. The Nation can ill afford to allow such a result.”

    Guess who said this? Come on, it should be right on the tip of y’alls tongues…

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